The Cyclicality of Hires, Separations, and Job-to-Job Transitions

Robert J. Shimer

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Labor market dynamics and wage inequality Monetary Policy and Economic Impact Unemployment and Economic Growth

Abstract

This article measures the job-finding, separation, and job-to-job transition rates in the United States from 1948 to 2004. The job-finding and job-to-job transition rates are strongly procyclical and the separation rate is nearly acyclical, especially since 1985. The author develops a simple model in which unemployed workers search for jobs and employed workers search for better jobs.

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References

1994Job Creation and Job Destruction in the Theory of Unemployment 2005The Cyclical Behavior of Equilibrium Unemployment and Vacancies 1998Wage Differentials, Employer Size, and Unemployment 1992Gross Job Creation, Gross Job Destruction, and Employment Reallocation 1996Job creation and destruction 2005Employment Fluctuations with Equilibrium Wage Stickiness 2007Reassessing the Ins and Outs of Unemployment 1989NBER macroeconomics annual 1987

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2009The pervasive absence of compensating differentials 2008Cyclical Movements In Unemployment And Informality In Developing Countries 2007The Determinants Of Rising Informality In Brazil : Evidence From Gross Worker Flows 2012Trade liberalization, labor reforms and formal–informal employment dynamics 2006Job Loss, Job Finding, and Unemployment in the U.S. Economy over the Past Fifty Years 2006The Cyclicality of Job Loss and Hiring

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